Changes in Accident Surcharge Thresholds Effective 7/1/15

On July 17, 2015 the MA State Budget was signed by Governor Baker which included changes to the thresholds for motor vehicle accident surcharge points.  The new thresholds are: Minor Accident: $1,000 to $5,000 (3 Points) and Major Accidents: $5,001 and over (4 points).  Formerly the amounts were $500 – $2,000 for a Minor Accident and $2,001 and over for a Major Accident.   The amount is determined by the total amount of damages an insurance company pays out for an at fault accident after the deductible is applied.  Most of our insurance carriers offer Optional Accident Forgiveness coverage as well as Disappearing Deductible if you qualify (an SDIP designation of 99 is usually required for Accident Forgiveness).  Please give us a call if you have any questions or would like to discuss adding these coverages to your policy.